1,651-Unit Portfolio Trades Hands in Michigan’s Largest Transaction for 2014

Marcus & Millichap completes Michigan's largest sale for 2014; M-M Properties picks up 292 units in Houston; and Berkadia originates a $25 million construction loan for a mid-rise.

Grand Rapids, Mich.—Marcus & Millichap has brokered the sale of the Grand Rapids 6 Apartment Portfolio in what is the largest commercial real estate transaction recorded in Michigan so far this year. The 1,651-unit portfolio sold for $102.2 million.

Earl Elliott, vice president investments, and senior associates Gordon Navarre and Christopher Futo, represented the seller, as well as the buyer, a New York-based private investment firm.

“The Grand Rapids 6 Apartment Portfolio is a true long-term investment built on Grand Rapids’ rich history of quality and family values,’ says Elliott. “All of the properties are within 15 minutes of each other and make a huge statement in the market.”

Houston—Private real estate investment firm M-M Properties has expanded its portfolio with the purchase of IMT Alden Landing, a 292-unit value-add asset located in the Houston suburb of The Woodlands. ARA’s Houston office represented the seller, IMT Residential, a California-based owner and operator. Houston-based M-M Properties bought the community on behalf of an institutional client.

According to ARA’s David Oelfke, “Alden Landing is a great asset in a great location, and it is one of the last value-add opportunities in The Woodlands proper. M-M plans to upgrade the interiors of all units and increase rents.”

Constructed in 1998, IMT Alden Landing offered an opportunity to own an asset in a high-barriers-to-entry market. Occupancy at the time of the sale was 97.3 percent. Located just 30 minutes north of Houston, The Woodlands is known as one of the most exclusive submarkets in Texas. The median household income is $105,151 and the average home value is more than $500,000. The Woodlands hosts more than 54,504 employees currently and is experiencing profound employment and population growth. There is currently 2.3 million square feet of new office construction and renovation projects underway and an additional 8 million being planned.

Miami—The Miami office of Berkadia recently originated a $25 million construction loan for The Queue, a 192-unit, mid-rise, multifamily community that will be built at SE 9th Street and SE 2nd Ave. in downtown Fort Lauderdale, Fla. Vice President Brad Williamson and Senior Vice President and South Florida Manager Mitchell Sinberg worked with the borrower to secure the three-year, floating-rate construction loan with a five-year mini-perm option through Mutual of Omaha Bank.

“Our team has experience with all loan products and we were delighted to provide financing for the construction of The Queue, which will be an excellent addition to downtown Fort Lauderdale,” Williamson says. “By leveraging our market insights and industry expertise, we were able to deliver attractive loan terms in a competitive environment and meet our client’s timeline to close.”